The Persian version of this article has printed in “Goal” daily, Dated: Sunday, October 21, 2018.
A 500-Billion League and Needy Clubs
The Buttermilk Sea of Football!
Vahid Namazi
If, starting today or tomorrow, due to a sudden event, the government’s umbrella of support is lifted from Iranian football, what would happen? Do the Football Federation and the teams in various leagues have the capacity to survive, even for a short while, without dipping into government funds or those of state-affiliated, non-private entities, and without accumulating massive debts and losses? Without a shred of doubt, such a significant event is virtually impossible. Although a large part of the requirements set by international regulatory bodies, such as the Asian Football Confederation and even FIFA, to distance governments from directly funding and interfering in football have been superficially met on paper, everyone knows that running football privately or even semi-privately in our country has so far been impossible. Given the resources and mechanisms available to the private sector (compared to the government), it is nearly unthinkable.
Let’s revisit part of the honorable Minister of Sports’ remarks from yesterday regarding football and its costs: “The total cost of Premier League teams is 500 billion tomans, which fills the leisure time of over 50 million people with a healthy and positive tool throughout the year, bringing joy and vitality to the public. Moreover, the vast majority of Premier League teams are not government-owned, and their funding, including for Persepolis and Esteghlal, comes from sources outside the government, such as fan-based systems.” A phenomenon that, with an annual cost of 10,000 tomans per person for the 50 million people mentioned by the Minister (equating to 500 billion tomans annually), can steer youth away from delinquency and inject vitality into society is undoubtedly valuable and noteworthy. But how many of our Premier League teams can cover their expenses for a single season without receiving aid from government companies or non-private institutions? At least ten out of the sixteen teams in Iran’s Premier League are directly or indirectly dependent on the government (we all know that mere paperwork changes and the superficial private management of clubs, coupled with a lack of financial transparency, do not make them truly private). Among these ten teams, which ones could complete a season without government-affiliated aid and cover the average cost of over 31 billion tomans per team (based on the 500-billion-toman total for the sixteen-team league) from their own pockets? The other side of this issue leads to the Football Federation and its myriad problems, with the national team and its tangled web of exorbitant costs at the forefront. Without direct or indirect government support in facilitating and funding the Federation’s expenses, which president or administrative body of the Federation could generate revenue and cover costs given the country’s current conditions and the existing structures of this public institution?
There’s no doubt that the government has tried in recent years to reduce its control over football, but these efforts are insufficient. Focusing on developing the infrastructure needed by clubs and the Federation, providing resources for low-interest, long-term loans to truly private clubs for building stadiums and dedicated training camps (not for covering daily expenses), relentlessly pursuing the resolution of the TV broadcast rights issue and permanently addressing the self-inflicted misunderstandings in this area (which would ultimately benefit the Federation, clubs, and even the national media), creating a secure competitive environment for clubs to enter financial markets (such as the stock exchange) and generate revenue based on global models, and pulling out the shaky tooth of non-sporting profiteering from football (perhaps the greatest temptation for governments to cling to the world’s biggest social phenomenon) are just some of the measures the government could implement. These steps would mark a significant stride toward sustainable development in football while allowing the government to reap countless benefits. Otherwise, this sea of football, with such “empty” bowls of buttermilk, will never turn into dough!